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Archive for tag: Claiming PPI in Scotland

Your One-Stop Guide to Claiming PPI!

Brought to you by Payment Protection Scotland

We have helped hundreds of customer successfully claim back PPI on their accounts! Could we help you in 2014?

How do I know if I have PPI?

Good question and one that can be difficult to answer, as some banks and lenders 'hid' the payment protection insurance (PPI) premiums within the account or monthly payments.

Neither was it always called PPI; different banks gave it different names. You need to check all statements, paperwork and online documentation and look for anything that tells you that it promises to insure or make payments on your account if you are unable to do so.

Still not sure? Contact us - we may be able to help!

Who do I contact to make a claim for PPI?

There are two options:

  1. Contact any of the banks, lenders or building societies with whom you have accounts with PPI added to them; they will need a letter from you, asking for your money back
  2. Many customers, for a variety of reasons, are not always confident or willing to contact their bank in this way; they can use reputable claims management companies such as us here at Payment Protection Scotland.

How do I know a claims management company is any good?

Companies, like banks and other businesses, will publish their success stories; here at Payment Protection Scotland for example, we have a 92% success rate in claiming back money for people. But, what you want to look for is the way in which the company says it operates. There are thousands of people who are entitled to claim PPI but some people have also attempted to claim, sometimes through claims management companies, but knowing full well that they did not have PPI.

Look for robust vetting procedures to check for PPI on accounts.

What if the bank say no?

No worries. Banks have been saying no to some people but, customers do not need to take this as a final answer! Many people, including customers here at Payment Protection Scotland, upon this initial refusal are taking their case to the Financial Ombudsman Service.

The FOS is an independent body who look at disputes between banks and their customers. They currently have a heavy PPI workload but are getting through this; the good news is they are finding in favour of the consumer in three-quarters of the cases.

2014 could be the year that you get a much needed windfall in terms of your finances; what would you spend the money on? A holiday, perhaps? Or a new family car? Or maybe it will be nice to be debt free?

If you think you have a claim for compensation, contact us here at Payment Protection Scotland!

Is Claiming PPI Compensation in Scotland Different?

There are many differences in a variety of procedures between Scotland and the rest of the UK, but the financial industry has no border between us and the rest of the UK. Here in Scotland, claims management activities are not regulated by the Ministry of Justice but that is where any differences end.

PPI in Scotland

Payment protection insurance (PPI) is an insurance policy that protects repayments of loans, credit cards etc. should the account holder be too ill to work as well as other reasons. However, whilst this sounds like a good idea on paper, the terms and conditions - along with significant exclusions - meant that the vast majority of customers to whom it was sold were not covered by the policy...but were still paying for it!

Poor value too

The Financial Conduct Authority also declared that the insurance policy represented poor value for money. The premiums charged were high but the covered received (if you were covered!) was extremely low.

Not illegal to sell PPI

The sale of PPI to customers is not illegal but the practice of selling additional products alongside other major financial products has been called into question. This practice in itself has been designated unfair; it is an emotional, subjective decision for us to seek a loan or a mortgage. It might be to buy our first house or purchase a much-needed, reliable family car; in other words, our eyes are on the prize, not on making the best, informed decision of insurance products.

Modern day sales practice is that if you are sold another product alongside the main loan, that you have a cooling off period during which time you can decline the product without the ability to gain the main credit being affected.

PPI was also seen by many as a poor product simple based on its low payout rate. Research suggests that the payout rate on PPI policies is as low as 15% - compare this to car insurance in which 84% of claims paid out - you can see where the criticism comes from.

As a result, banks and lenders must now publish and make available their PPI payout rate. The Financial Conduct Authority believe that this is one way of making banks for accountable and transparent to their customers - and that customers as a result can make an informed decision about whether PPI is for them or not.

Transparent practice

All these changes make for a more transparent selling practice within banks. Advised sales of any financial products, including PPI, must now not only be talked through with the customer but also written in the form of a summary report, clearly specifying why the product is right for them. From this, the customer can then decide if it is right for them - or not.

PPI was and still is an embarrassing episode for British banks. Customers from across the UK, including Scotland have been adversely affected by the mis-selling of PPI. Many customers made hundred of premium payments on a policy that did not cover them but felt compelled to do so.

If you are one of these customers, then you need to claim back every penny of these premiums - and interest. Contact Payment Protection Scotland to see how they can help you!